Marketplace Money for July 10, 2004

Diversify, diversify, diversify…is one of Chris' money mantras. One way to do that is to invest overseas. For advice on how to start, Kai checks in with Ray Mills, the manager of the international growth and income fund for T-Rowe Price.

Kai has never actually bought a brand new car. It's always been second-hand. But every time, he's bought a car because the old one finally gave up the chase. And usually that comes after a substantial investment in trying to fix it. How do you figure out whether it's cheaper to fix your old jalopy or just buy a new car? Brian Jones found out... when his six-year-old car needed a big repair.

It's time once again for our economics editor Chris Farrell is to help you sort out what's smart, what's stupid and what's the Straight Story. Interest rates went up. Mortgage rates are down. What's the deal? Chris explains.

The writers behind many of our favorite movies and TV shows have been working without a contract the past couple of months. The Writer's Guild of America says offers for benefits and residuals pay are unacceptable. The Guild calls its members 'America's Storytellers.' But on this week's 'A Day In the Work Life'...our regular look at how folks trade their time for money...we hear from a different kind of storyteller. His life makes for quite a yarn.

Life is hard enough without having to decipher everything. Each week, Sound Money will bring you a word or a phrase that has bubbled to the top of the news. For instance: ERISA. You hear it, you see it, but do you really know it?

Own a home? Or a car? You’re probably well acquainted with the world of insurance policies. No one likes to pay for something they'll hope they won't need, but the experts agree that car, home and medical insurance are musts. But what about credit card loss protection or travel insurance? Kai interviews Consumer Reports' deputy editor Lisa Freeman about insurance policies you don’t need.

Curious about who is looking after your wallet? Kai investigates what regulators have been doing to protect your finances. Right now, the Securities and Exchange Commission is investigating mutual funds, 401ks, and insurance companies. We get a SEC roundup from Professor Eric Talley, a securities legal expert.

Let's talk about inflation. A lot of analysts say one of the reasons the Federal Reserve recently raised the short-term interest rates was to help keep inflation at bay. Inflation does have a bad reputation. But if those credit card bills keep piling up, you might want to reconsider your attitude toward it. Matthew Algeo reports.